Oleg Mikhailov, Karelsky Okatysh' general director, reported of the 2001 performance. He stated that in 2001 the company met all production goals, which were incorporated into its business plan. In 2001, Karelsky Okatysh produced 6.6 million tones of iron-ore pellets and 6.951 million tones of iron ore concentrate. That year the company removed 24.7 million cubic meters of mining mass, including 19 million cubic meters of stripping rock. This is respectively 11 and 15 percent higher than in the previous year. These volumes of removed mining mass are the highest in the plant's life time.
   In 2001, the plant also reached one of the highest stripping ratios in the industry. Over that time the stripping ratio was 1,0 cubic meters per tone, which is 16% higher than in 2000. High volumes of mining mass and stripping rock removal were set in the company's business plan as a strategic priority with aim to preserve and restore the source of raw materials and keep the open pit capacity. The company increased the volumes of drilling of blast holes and mining mass blasting by 14% as compared with the previous year. In 2001, 807,000 rm of blast holes were drilled, 22.4 million cubic meters of mining mass were blasted.
   Besides, sales in 2001 amounted to 3993.1 million rubles which is 8% higher that in 2000. The sales of iron pellets totaled 3,760.3 million rubles, which is a 10% increase over 2000. The earnings in 2001 were 4,150.9 million rubles (excluding VAT and export duties). This is 15% higher than last year.
   In 2001, tax payments also grew. The company paid 595.5 million rubles in taxes, which is 5% higher than last year. Karelsky Okatysh paid all year's taxes in full. Besides current tax payments, the plant paid 101.5 million rubles in customs tariffs for export of iron pellets and paid penalties and fines for non payment in previous years in the amount of 78.9 million rubles.
   In 2002, Karelsky Okatysh plans to increase output by 3% as compared with 2001, reaching 6.8 million tones of iron pellets. In 2002, the company expects to increase the mining mass removal by 1.2% up to 26 million cubic meters, ore extraction will grow by 5.3% up to 19.9 million tones, concentrate production will raise by 3.3% up to 7.202 million tones. The stripping will remain at 20 million cubic meters/57.8 million tones, while the stripping ration is expected to reach 1.01 cubic meter per tone of iron ore.
   The shareholders approved the annual report, the profits and losses statement and decided not to distribute profits for 2001.
   The shareholders meeting elected 9 persons as members of the Board of Directors, including:

Andrianov Alexander - head of Severstal's production economics department,

Denisov Sergey - advisor to the chairman of the Karelia government ?n economic issues,

Kashubsky Andrey - deputy director of Severstal's non-core businesses department,

Mikhailov Oleg - general director of Karelsky Okatysh,

Naomi Nicole chairman of Carelessly Okaytsh' trade union,

Nechaev Igor - Severstal's commercial director,

Romashin Evgeny - financial director of Karelsky Okatysh,

Trofimov Oleg - senior manager of non-core businesses department of Severstal,

Shurupov Ivan - acting deputy chairman of the Karelia government.